BuyersStrike! readers may recall this post here, from the middle of May, which introduced a wretched promoter of sleazy Chinese reverse mergers and one of his pets, and the surprise appearance of Dick Fuld.
The promoter is Benjamin Wey aka Benjamin Wei aka Benjamin Tianbing Wei, who is also responsible for such lovely Chinese companies as Harbin Electric, Inc. (HRBN) and China Natural Gas (CHNG), both of whom we explored yesterday and previously here.
Today Benny is the subject of a must-read, fantastic piece by Roddy Boyd at The Financial Investigator, available here.
One of Benny’s weaker deals is a wholly unimpressive Chinese reverse merger company called AgFeed Industries (FEED). In May there was a rash of insider selling by the Chinese nationals who formerly served as company management.
Last night, AgFeed announced, like so many frauds before, that a very Special Committee of directors has been formed to investigate accounting issues:
NEW YORK, Sept. 29, 2011 /PRNewswire-Asia/ — AgFeed Industries, Inc. (Nasdaq:FEED – News) (“AgFeed” or the “Company”) announced today that its Board of Directors has established a special committee to investigate the accounting relating to certain of the Company’s Chinese farm assets (acquired during 2007 and 2008) used in its hog production business, as well as the validity and collectability of certain of the Company’s accounts receivables relating to its animal nutrition business in China and any other issues that may arise during the course of the investigation.
Perhaps the only question a reasonable investor, or a competent Board Member should ask is “Are the books as cooked through as properly prepared pork?” Is anyone even remotely surprised?
With the recent FBI raid on Wei’s house, it would be a great time for a follow-up on the status of any companies still listed which were associated with him.